Analysis of the Current Sales Situation and Prospects Forecast of China's Rabbit Fur Market
Overview and Forecast of China's Rabbit Fur Market Sales
This post was last edited by Historical Fox on 2009-12-11 14:09
In the import and export statistics tables for rabbit fur, China Customs collectively refers to the fur produced by fur-purpose rabbits such as the Rex rabbit and dual-purpose (fur and meat) rabbits such as the Chinchilla rabbit and the Belgian rabbit as "rabbit fur." There are quality differences between Rex rabbit fur and meat rabbit fur. Because Rex rabbit fur has fine underwool, bright color, is light and soft, moisture-retentive, durable, resistant to shedding, and elegant and dignified, it is an ideal raw material for the fur garment industry. Depending on quality, rabbit fur can be used to sew long and short coats, jackets, vests, capes, fur collars, neck warmers, cuffs, hats, gloves, shoes, mattress pads, and other handicrafts and decorative items.
1 Overview of Domestic Rabbit Fur Market Sales
China is internationally recognized as a major country for fur animal breeding and processing, and is also the world's largest exporter of fur garments. Nationwide there are currently more than 1,200 fur processing enterprises, of which 263 are large-scale enterprises with annual sales revenue of more than 5 million yuan, employing more than 40,000 people. In Shijiazhuang City, Hebei Province alone, there are nearly 400 enterprises distributing Rex rabbit and other fur garments in Russia, with more than a thousand employees. There are countless households engaged in rabbit fur processing across the country; in Zaoqiang County, Hebei Province alone there are nearly 100,000. Since the reform and opening up, China has successively established regional fur trading markets. Shangcun, Liushi, and Daying in Hebei Province and Haining and Chongfu in Zhejiang Province are all relatively large-scale raw fur trading markets in China. The author recently visited the Huangpu Fur Market in Xintun Township, Zaoqiang County, Hebei Province, which was built only 3 years ago, and was deeply impressed and gained a great deal. A brief introduction follows:
The Huangpu Fur Market was founded in 2005 with funds raised by Zaoqiang County Shunda Fur Company. This rabbit fur market, which has been in operation for only 3 years since completion, has gathered 60% of the world's raw rabbit fur supply, with an average daily throughput of rabbit fur reaching as high as 200,000 pieces. These rabbit fur supplies include raw rabbit fur from a large number of rabbit fur specialty villages such as Daying, Xintun, Louyu, Sicha, and Zhulüjuan, as well as raw rabbit fur imported from more than 10 countries and regions including Spain, Turkey, Argentina, South Korea, and Hong Kong. According to the market manager: with the support of the local government, after 3 years of development, the market now has a large number of active market brokers specializing in rabbit fur trading, which has radiated outward and led more than 5,000 households in more than 400 villages across 5 surrounding cities and counties onto the path to prosperity. Apart from supplying local processing households, a considerable portion of the rabbit fur at the Huangpu market is transported to southern regions such as Chongfu in Zhejiang and major garment production bases across the country for use as garment raw material. A small market has taken on large-scale circulation.
2 China's Rabbit Fur Import and Export Situation Over the Past 5 Years
According to China Customs statistics, China's rabbit fur import and export situation over the past 5 years (2003-2007) is shown in the table below:
From the table above it can be seen that: (1) China's rabbit fur import and export trade volume is very large, with an average annual trade volume of up to 22,323 t; of this, rabbit fur imports totaled 109,410 t, with an average annual import of 21,882 t; the fur imported by China in the largest quantity is rabbit fur, with rabbit fur imports accounting for more than 80% of total fur imports (including mink fur, fox fur, etc.). Rabbit fur exports amounted to only 2,205 t, with an average annual export of 441 t. (2) From
the perspective of rabbit fur import and export prices, taking 2007 as an example, the average import price of rabbit fur was only 0.14 million USD per ton, while the export price was as high as 5.13 million USD. Because imported rabbit fur is cheap, domestic rabbit fur processing and product enterprises, in order to seek maximum profit, rushed to use imported rabbit fur; some lawbreakers even smuggled imported rabbit fur to evade tariffs. Since 2008, Qingdao Customs has successively busted 3 cases of foreign rabbit fur import smuggling involving more than 1.34 million pieces of rabbit fur and more than 2.4 million yuan in taxes.
3 Rabbit Fur Market Forecast for 2009
Based on the author's market surveys and statistics in Shangcun, Hebei; Xinjin, Sichuan; Harbin, Heilongjiang; and Hangzhou, Zhejiang, the average price of domestic unified-grade Rex rabbit fur in 2007 was 34.33 yuan per piece, falling to 30 yuan per piece in 2008; the average price of first-grade fur in 2007 was 49 yuan per piece, falling to 45 yuan per piece in 2008. It is predicted that in 2009 domestic unified-grade Rex rabbit fur will be 25 yuan per piece, first-grade fur around 40 yuan per piece; raw meat rabbit flat skins 7-13 yuan per piece, high-quality first-grade fur 14-20 yuan per piece, basically flat compared with the previous two years. Basis for the forecast: there are many factors affecting rabbit fur prices, including domestic and international market demand, the number of fur rabbits bred and the growth in pelt output, the rabbit fur import and export situation, global climate change, and the international financial crisis. From the perspective of domestic and international market demand, as domestic living standards improve, demand for fur garments in cold regions such as Northeast China is increasing. According to surveys: fur garment consumption in Jilin Province has increased by 300% compared with 3 years ago. The Tong'erpu market in Liaoning Province sells as many as 7 million fur garments annually. However, demand for fur garments in most southern regions has declined due to warm winters. Russia is an important market for China's rabbit fur garment exports, but due to the impact of the international financial crisis and global warm winters, China's rabbit fur garment exports to Russia have already fallen sharply. From the perspective of fur rabbit breeding volume and pelt output growth, because rabbit fur prices were at a low point from 2007 to 2008, combined with rising feed and labor breeding costs, fur rabbit breeding volume and pelt output decreased slightly, but the decline was not large (angora rabbits declined more). From the current market situation, rabbit fur shows a situation of supply exceeding demand. The author visited the Daying Fur Market in Zaoqiang County, Hebei Province, which was desolate and cold, with very few rabbit fur transactions; first-grade Rex rabbit fur has already dropped from 30 yuan per piece to 25 yuan per piece. Purchasers at the Shenzhou market in Hebei actually purchased Rex rabbits and meat rabbits at the same price, with live rabbits all at one price of 10 yuan per kg, leaving Rex rabbit breeders deeply worried.
From the perspective of the rabbit fur import and export situation, cheap imported rabbit fur has prompted rabbit fur processing and product enterprises to use large quantities of imported rabbit fur, which has also suppressed the price of domestically produced rabbit fur. From the perspective of the international financial crisis, the situation is even worse. After the financial crisis broke out, the economic downturn led to a decline in social purchasing power, affecting China's export earnings from rabbit fur and its garment products. In a normal year, China exports more than 400 t of rabbit fur annually, earning more than 20 million USD in foreign exchange annually, and exports of rabbit fur garments and mattress pads earn even more foreign exchange; once an international financial crisis is encountered, exports and foreign exchange earnings will drop sharply. For example, the Asian financial crisis that broke out in 1997 dealt a great blow to the fur market. The global financial crisis that broke out in 2008 has already led to a sharp decline in fur prices; recently, prices of Rex rabbit fur and meat rabbit fur in various Hebei rabbit fur markets have all declined. Therefore, one should maintain a cautiously optimistic attitude toward the 2009 rabbit fur market, adjust the rabbit flock in a timely manner, select the superior and eliminate the inferior, raise fewer but better rabbits, in order to welcome the arrival of a new peak in the rabbit fur market.
Note: Reproduced from the Boyahexun Forum; for more details please follow Boyahexun. Attachment: You need to log in to download or view attachments. No account? Register
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Hehe, learned something
In the import and export statistics tables for rabbit fur, China Customs collectively refers to the fur produced by fur-purpose rabbits such as the Rex rabbit and dual-purpose (fur and meat) rabbits such as the Chinchilla rabbit and the Belgian rabbit as "rabbit fur." There are quality differences between Rex rabbit fur and meat rabbit fur. Because Rex rabbit fur has fine underwool, bright color, is light and soft, moisture-retentive, durable, resistant to shedding, and elegant and dignified, it is an ideal raw material for the fur garment industry. Depending on quality, rabbit fur can be used to sew long and short coats, jackets, vests, capes, fur collars, neck warmers, cuffs, hats, gloves, shoes, mattress pads, and other handicrafts and decorative items.
1 Overview of Domestic Rabbit Fur Market Sales
China is internationally recognized as a major country for fur animal breeding and processing, and is also the world's largest exporter of fur garments. Nationwide there are currently more than 1,200 fur processing enterprises, of which 263 are large-scale enterprises with annual sales revenue of more than 5 million yuan, employing more than 40,000 people. In Shijiazhuang City, Hebei Province alone, there are nearly 400 enterprises distributing Rex rabbit and other fur garments in Russia, with more than a thousand employees. There are countless households engaged in rabbit fur processing across the country; in Zaoqiang County, Hebei Province alone there are nearly 100,000. Since the reform and opening up, China has successively established regional fur trading markets. Shangcun, Liushi, and Daying in Hebei Province and Haining and Chongfu in Zhejiang Province are all relatively large-scale raw fur trading markets in China. The author recently visited the Huangpu Fur Market in Xintun Township, Zaoqiang County, Hebei Province, which was built only 3 years ago, and was deeply impressed and gained a great deal. A brief introduction follows:
The Huangpu Fur Market was founded in 2005 with funds raised by Zaoqiang County Shunda Fur Company. This rabbit fur market, which has been in operation for only 3 years since completion, has gathered 60% of the world's raw rabbit fur supply, with an average daily throughput of rabbit fur reaching as high as 200,000 pieces. These rabbit fur supplies include raw rabbit fur from a large number of rabbit fur specialty villages such as Daying, Xintun, Louyu, Sicha, and Zhulüjuan, as well as raw rabbit fur imported from more than 10 countries and regions including Spain, Turkey, Argentina, South Korea, and Hong Kong. According to the market manager: with the support of the local government, after 3 years of development, the market now has a large number of active market brokers specializing in rabbit fur trading, which has radiated outward and led more than 5,000 households in more than 400 villages across 5 surrounding cities and counties onto the path to prosperity. Apart from supplying local processing households, a considerable portion of the rabbit fur at the Huangpu market is transported to southern regions such as Chongfu in Zhejiang and major garment production bases across the country for use as garment raw material. A small market has taken on large-scale circulation.
2 China's Rabbit Fur Import and Export Situation Over the Past 5 Years
According to China Customs statistics, China's rabbit fur import and export situation over the past 5 years (2003-2007) is shown in the table below:
From the table above it can be seen that: (1) China's rabbit fur import and export trade volume is very large, with an average annual trade volume of up to 22,323 t; of this, rabbit fur imports totaled 109,410 t, with an average annual import of 21,882 t; the fur imported by China in the largest quantity is rabbit fur, with rabbit fur imports accounting for more than 80% of total fur imports (including mink fur, fox fur, etc.). Rabbit fur exports amounted to only 2,205 t, with an average annual export of 441 t. (2) From
the perspective of rabbit fur import and export prices, taking 2007 as an example, the average import price of rabbit fur was only 0.14 million USD per ton, while the export price was as high as 5.13 million USD. Because imported rabbit fur is cheap, domestic rabbit fur processing and product enterprises, in order to seek maximum profit, rushed to use imported rabbit fur; some lawbreakers even smuggled imported rabbit fur to evade tariffs. Since 2008, Qingdao Customs has successively busted 3 cases of foreign rabbit fur import smuggling involving more than 1.34 million pieces of rabbit fur and more than 2.4 million yuan in taxes.
3 Rabbit Fur Market Forecast for 2009
Based on the author's market surveys and statistics in Shangcun, Hebei; Xinjin, Sichuan; Harbin, Heilongjiang; and Hangzhou, Zhejiang, the average price of domestic unified-grade Rex rabbit fur in 2007 was 34.33 yuan per piece, falling to 30 yuan per piece in 2008; the average price of first-grade fur in 2007 was 49 yuan per piece, falling to 45 yuan per piece in 2008. It is predicted that in 2009 domestic unified-grade Rex rabbit fur will be 25 yuan per piece, first-grade fur around 40 yuan per piece; raw meat rabbit flat skins 7-13 yuan per piece, high-quality first-grade fur 14-20 yuan per piece, basically flat compared with the previous two years. Basis for the forecast: there are many factors affecting rabbit fur prices, including domestic and international market demand, the number of fur rabbits bred and the growth in pelt output, the rabbit fur import and export situation, global climate change, and the international financial crisis. From the perspective of domestic and international market demand, as domestic living standards improve, demand for fur garments in cold regions such as Northeast China is increasing. According to surveys: fur garment consumption in Jilin Province has increased by 300% compared with 3 years ago. The Tong'erpu market in Liaoning Province sells as many as 7 million fur garments annually. However, demand for fur garments in most southern regions has declined due to warm winters. Russia is an important market for China's rabbit fur garment exports, but due to the impact of the international financial crisis and global warm winters, China's rabbit fur garment exports to Russia have already fallen sharply. From the perspective of fur rabbit breeding volume and pelt output growth, because rabbit fur prices were at a low point from 2007 to 2008, combined with rising feed and labor breeding costs, fur rabbit breeding volume and pelt output decreased slightly, but the decline was not large (angora rabbits declined more). From the current market situation, rabbit fur shows a situation of supply exceeding demand. The author visited the Daying Fur Market in Zaoqiang County, Hebei Province, which was desolate and cold, with very few rabbit fur transactions; first-grade Rex rabbit fur has already dropped from 30 yuan per piece to 25 yuan per piece. Purchasers at the Shenzhou market in Hebei actually purchased Rex rabbits and meat rabbits at the same price, with live rabbits all at one price of 10 yuan per kg, leaving Rex rabbit breeders deeply worried.
From the perspective of the rabbit fur import and export situation, cheap imported rabbit fur has prompted rabbit fur processing and product enterprises to use large quantities of imported rabbit fur, which has also suppressed the price of domestically produced rabbit fur. From the perspective of the international financial crisis, the situation is even worse. After the financial crisis broke out, the economic downturn led to a decline in social purchasing power, affecting China's export earnings from rabbit fur and its garment products. In a normal year, China exports more than 400 t of rabbit fur annually, earning more than 20 million USD in foreign exchange annually, and exports of rabbit fur garments and mattress pads earn even more foreign exchange; once an international financial crisis is encountered, exports and foreign exchange earnings will drop sharply. For example, the Asian financial crisis that broke out in 1997 dealt a great blow to the fur market. The global financial crisis that broke out in 2008 has already led to a sharp decline in fur prices; recently, prices of Rex rabbit fur and meat rabbit fur in various Hebei rabbit fur markets have all declined. Therefore, one should maintain a cautiously optimistic attitude toward the 2009 rabbit fur market, adjust the rabbit flock in a timely manner, select the superior and eliminate the inferior, raise fewer but better rabbits, in order to welcome the arrival of a new peak in the rabbit fur market.
Note: Reproduced from the Boyahexun Forum; for more details please follow Boyahexun. Attachment: You need to log in to download or view attachments. No account? Register
---------------------
Hehe, learned something